The U.S. Census Bureau released the newest American Community Survey (ACS) data last month. The American Community Survey is an ongoing survey that produces social, housing and economic data for different demographic groups in areas that have a population of 65,000 or more.
Here are five highlights from the survey that shine a light on the lives of diverse Minnesotans in 2023.
1. Minnesotans of color make up a quarter of the state’s total population.
Roughly 1.3 million people of color lived in Minnesota last year, Census Bureau estimates show. About one in four Minnesotans are people of color. There were slight increases in the Black and Hispanic communities from 2022 to 2023.
2. Immigrants in Minnesota come from diverse backgrounds.
Minnesota was home to around 500,000 foreign-born people as of last year — that’s about one in 11 residents. The top country of birth for foreign-born Minnesotans was Mexico, followed by India and Somalia. India surpassed Somalia in 2023 for the first time as the second-largest country of origin.
3. Minnesotan renters — especially Black and brown renters — struggled to pay rent.
More than 600,000 Minnesotans are renters, according to the 2023 ACS data.
Households are considered rent-burdened when they spend more than 30% of their income on rent, utilities and other housing costs, according to the U.S. Department of Housing and Urban Development. Households that spend more than half of their income on rent are considered severely rent-burdened.
Among all Minnesota renters, roughly two in five were rent-burdened last year. One in five renters was severely rent-burdened.
Black and Hispanic renters in Minnesota are overwhelmingly rent-burdened. More than half of Black renters in Minnesota paid over 30% of their yearly household income towards rent.
4. Minnesotans of color saw growth in median household income in 2023.
Communities of color saw larger growth in median household income from 2022 to 2023, compared to white Minnesotans. However, Black, Hispanic and American Indian households still saw large gaps in median household income compared to Asian and white households.
5. Minnesotans of color are making more in income, but there’s still a long way to go to close the racial gap.
Communities of color saw decreases in the share of people living under the poverty line. During the COVID-19 pandemic, there was an uptick across all racial groups in the percentage of people living below poverty. The percentage decreased for the first time for communities of color from 2022 to 2023.
Although there was a decrease in the share of people living in poverty, disparity still exists for communities of color in Minnesota. In 2023, roughly one in five Black residents in Minnesota were in poverty, compared to one in 14 white residents.
What does living under the poverty line mean? Poverty thresholds defined by the Census Bureau vary by the size of a family and the age of its members. For example, the poverty threshold for a single-person household was $15,480 in 2023. For a household consisting of two adults under 65 and one child, the poverty threshold was set at $24,526.
The Census Bureau uses the same thresholds throughout the United States, and they do not vary geographically. Although these thresholds in some sense reflect a family’s need, they are intended for use as a statistical yardstick, not a complete description of what people and families need to live.
What is the American Community Survey?
The American Community Survey (ACS) is an ongoing annual survey that provides vital information about the nation and its people. Information from the survey generates data that helps inform how trillions of dollars in federal funds are distributed each year. Conducted by the U.S. Census Bureau, the ACS includes data about the nation’s changing demographics, housing and workforce.
How should I make sense of this data?
The ACS releases new data every year in the form of estimates. Unlike the census that surveys residents every 10 years, the ACS only interviews a sample of the population. The ACS data does not provide the actual counts of the population, and is therefore subject to sampling error.
The 2023 American Community Survey 1-year estimates data is produced based on around 65,000 interviews of selected households in Minnesota throughout last year.
Can I participate in the American Community Survey?
The Census Bureau mails questionnaires to approximately 295,000 addresses a month across the United States. Those who are selected can respond to the survey by mail, phone, in-person interview or online.
You can find more information about responding If you are selected to participate here.
CORRECTION: An earlier version of this story included a wrong number for the total number of Minnesotans of color.
